Homework on Role of Wallets - Questions

Blockchain and Bitcoin 101
#2790
  1. Describe in short what a bitcoin wallet does.
    It stores your private key used for creating and signing transactions.
2 Likes
#2791
  1. Describe in short what a bitcoin wallet does.
    A bitcoin wallet stores your private key, it can read transactions from the blockchain, it can sign new transactions and broadcast them.
1 Like
#2792
  1. Stores private keys, create and sign transactions, broadcast the transactions, reads the blockchain to check balance.
1 Like
#2793

A BTC wallet is a holder for your public & private keys that sign your transactions, they operate with nodes or SPV to send the transaction away which then gets sent to the miners. when miners approve they send the block into the chain and the info into the nodes, which confirm the trransaction.

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#2794

A Bitcoin wallet stores your private keys, creates and signs on transactions, broadcasts transactions, reads the blockchain, receives funds, and notifies you when you have funds to spend.

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#2795

Stores private key in order to create, send, receive transaction/confirmations from the bc

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#2796

Describe in short what a bitcoin wallet does.

It does not store any coins. It has a private key that creates transactions and then broadcasts that so every node can have that information. When your wallet gets funds, it confirms with the blockchain and approves of the transaction so you can spend the money.

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#2797

It stores private keys which are used to sign transactions and sends to be verified.

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#2798
  1. Describe in short what a bitcoin wallet does.

Bitcoin wallet has your private key and it digitally sign transaction.

1 Like
#2799
  1. Describe in short what a bitcoin wallet does.

A Bitcoin wallet stores the private key and creates digital signatures used for the network node transaction validity.

2 Likes
#2800

A bitcoin wallet stores your private keys, signs and broadcasts transactions, and also reads the blockchain. There are no coins stored in the wallets, the wallets basically broadcasts transactions to the network to update the blockchain on the balance in each wallet.

2 Likes
#2801

A wallet stores your private key - the private key is a large, randomly generated # which in turn is used to generate a public key (if the private key is “k”, then the public key is kG(x,y)= H(x1,y1), G being the initial point on a prescribed elliptic curve with coordinates x,y and H being the final location on the elliptic curve after kG is performed, H having coordinates x1, y1 ; G is “added to itself” k times to get from x,y to x1,y1. The one way nature of generating a public key means that even if a 3rd party knows G(x,y) and H(x1,y1), they cannot reverse calculate k, which means, k, the public key is secure. The private key is used to provide digital signatures in order to send crypto currencies.

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#2802
  1. Describe in short what a bitcoin wallet does.

Its purpose is to store the Private Keys of the users so that it can communicate to the ledger the

transaction that it’s been involved in. Wallets come in different mediums but their function is all the

same, to store the private key.

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#2803
  1. holds private keys, not actual bitcoins, and connects to the blockchain network with those private keys .
    there are different types of wallets like online wallets , hardware wallets or hosted wallets .
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#2804

My next to last sentence said “k, the public key is secure.” I meant “k, the private key is secure”. :slight_smile:

#2805

A bitcoin wallet stores users private keys, creates & signs, as well as broadcast the transaction to the blockchain network.

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#2806

The walett stores your money, in this virtual case it is the irreversible number so called private key which serves to release your money and keep it in safe.

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#2807

A Bitcoin wallet allows you to send or receive Bitcoin. It is assigned with your private key.

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#2808

Describe in short what a bitcoin wallet does.

Because Bitcoins does not exist in any material form/shape, they are practically stored nowhere. In reality, nobody owns any specific Bitcoin (Bitcoin does not have any coins). What it is own instead is a combination of keys that allows the owners to access the Bitcoin blockchain and perform transactions. These keys are stored in Bitcoin wallets :

  • The wallet’s core function is the creation, storage and use of private keys. In other words it automates Bitcoin’s complex cryptography. The wallet has 2 use cases: send and receive transactions.
  • When sending Bitcoin: the wallet creates and signs each transaction initiated by the sender/seller. In the Bitcoin world, signing basically means just sending Bitcoin to someone and the process is as follows: 1 - The wallet’s application running in the computer with a connected wallet sends a transaction creation request to the wallet; 2 - the wallet creates the transaction and then signs it by using the private key stored in the wallet; 3 - the wallet broadcasts the signed transaction out into the Bitcoin blockchain through the computer app, without revealing the private key (a signed transaction is public and does not carry any sensitive information, while the private key must remain secret instead).
  • When receiving Bitcoin: the wallet continuously monitors the Bitcoin blockchain and when it reads a transaction addressed to it, notifies the owner.
  • In conclusion, a wallet permanently interfaces with the Bitcoin blockchain, monitors it and updates its own balance with each sent or received transaction.
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#2809
  • A bitcoin wallet doesn’t hold coins. Instead, it generates private and public keys, signs transactions, and broadcasts them to the network, it also receives transactions.
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